The QCOSS annual Living Affordability in Queensland report aims to determine whether low-income households in Queensland can afford a basic standard of living.

The 2023 report identifies cost-of-living pressures associated with increasing accommodation prices and the cost of essential goods and services such as healthy food, energy, healthcare, transport, and digital communications.

Among the modelled households, only one was able to meet basic living costs while the others were either in debt or failing to make ends meet.

The impacts of these cost-of-living pressures on households is high stress and low financial wellbeing resulting in poor mental health outcomes. Among the modelled households, only one was able to meet basic living costs while the others were either in debt or failing to make ends meet.

Housing costs were the highest expenditure for each household, with up to 40 per cent of weekly expenditure being allocated to housing. Securing low-cost, affordable housing is challenging for low-income households who may rely heavily on government support. While higher energy rebates have been made available to more vulnerable households, energy costs continue to cause financial stress on households. Household access to healthy diets is compromised by escalating food costs where households are supplementing healthy foods with foods that are affordable to them, or in some instances, missing meals.

Percentage increase in prices from Aug-2022 to Aug-2023:

Table 1: Percentage increase in prices from Aug-2022 to Aug-2023. (Source: ABS- CPI data release 27-09-2023). Items and percentage increases in price (from Aug 2022 to Aug 2023). Automotive fuel 13.9%. Gas and other household fuels 12.9%. Electricity 12.7%. Bread and cereal products 10.4%. Dairy and related products 10.1%. Insurance and financial services 8.8%. Rents 7.8%. Transport 7.4%. Food products 6.9%. Housing 6.6%. Holiday travel and accommodation 6.6%. Education 5.5%. Health 5.2%. Communications 1.6%.

(Source: ABS- CPI data release 27-09-2023)

Restrictions are exerted on each household’s ability to travel as the costs of public transport, maintaining and fuelling vehicles are high. Access to reliable public transport is also a concern in rural and remote areas. Many households are saving water to reduce costs, while others are struggling with high water bills due to being in shared accommodation complexes and water networks.

For many households, medical needs are not being met due to high costs associated with specialist appointments and reduced bulk billing services. Rural and remote households are especially affected as people are required to travel long distances to access fewer practices.

The impacts of these cost-of-living pressures on households is high stress and low financial wellbeing resulting in poor mental health outcomes.

Government assistance is relied on to supplement households’ basic daily living costs. However, this support is often inadequate and, for some households – particularly those with children – it’s pushing them into poverty. Although a wide range of concessions and cost of living supports are available in Queensland, not all households who are eligible for these supports may be able to readily access them.

The cost-of-living pressures and financial stress require further attention and a coordinated response for financial inclusion so that all Queenslanders have access to a basic standard of living.

29 January 2024 | Focus area: